Nykaa shares jump 5.5%, Avenue Supermarts slips after Q2 updates; key takeaways for festive season

Shares of Avenue Supermarts, which operates the DMart supermarket chain, and FSN E-Commerce Ventures, the parent company of Nykaa, were in focus on Monday, October 5, after the companies released their provisional business updates for the quarter ended September 30, 2026 (Q2 FY27).

Nykaa

Nykaa (FSN E-Commerce Ventures Limited along with its subsidiaries) said it witnessed continued growth momentum in Q2 FY27, with consolidated GMV expected to be close to the thirties.

"NSV growth is expected to be higher in the early thirties. The business strengthened across both verticals, supported by the increasing scale of the Fashion vertical and steady growth in the Beauty vertical. With this, the consolidated net revenue growth is expected to be in the late twenties, marking yet another quarter of solid growth for Nykaa," the company said.

Other key details

Nykaa’s Beauty vertical maintained its healthy performance in Q2 FY27, with NSV and net revenue growth expected to be in the late twenties.

The omnichannel business continued to perform well with strong platform growth driven by both new customer acquisition as well as repeat customer engagement. The retail network expanded with 14 net new store additions during the quarter, taking the total store count to 338 as of September 30, 2026. Like-for-like store sales growth was in the early twenties, the highest in the last six quarters.

House of Nykaa continued to grow ahead of the overall Beauty vertical, supported by healthy performance across both core and emerging brands.

Fashion vertical details

Nykaa’s Fashion vertical continued to build on its growing scale in Q2 FY2027, with NSV and Net Revenue expected to be in the late forties and early forties, respectively.

New customer acquisition remained strong during the quarter and continued to be an important growth driver for the platform. More than 250 brands were added across categories during the quarter, further strengthening the brand assortment. The Nike partnership continued to see encouraging early traction, supported by exclusive drops.

"With a larger part of the festive season falling in Q3 this year, some of the festive-led growth has shifted from Q2 to Q3. We remain confident in the underlying growth drivers of the business and in delivering our long-term ambitions," it added.

Avenue Supermarts (DMart)

Avenue Supermarts, which owns and operates the retail chain D-Mart, reported an 18.4% rise in standalone revenue from operations to ₹19,206.18 crore for the second quarter ended September 30, 2026 (Q2 FY27).

The company had reported revenue from operations at ₹16,218.79 crore a year ago, Avenue Supermarts said in a regulatory filing on Saturday.

"Standalone Revenue from operations for the quarter ended (QE) September 30, 2026, stood at ₹19,206.18 crore," the company said in its update at the end of the quarter.

The total number of stores of the Damani-family-promoted retail chain stood at 518 as of September 30. This also includes its Sanpada, Navi Mumbai, Maharashtra store, which is currently closed to customers due to reconstruction.

On a quarter-on-quarter basis, D-Mart's revenue climbed 4.7%. Its revenue was ₹18,343.49 in the June quarter.

Promoted by Radhakishan Damani and his family, D-Mart retails basic home and personal products across markets, including Maharashtra, Gujarat, Andhra Pradesh, Madhya Pradesh, Karnataka, Telangana, Chhattisgarh, NCR, Tamil Nadu, Punjab, and Rajasthan.

How shares were performing

Shares of Nykaa rallied as much as 5.49% to ₹342.80 apiece on the NSE, while Avenue Supermarts was trading 3.55% lower at ₹3,677.80.